Market Report: Supplements and petfood come together

["Sales of nutraceutical treats for dogs and cats rose 13% in 2010.", "Support for senior dogs is an especially hot area in functional petfoods."]

Petfood and
pet supplements have always overlapped in terms of ingredients, but now the marketers
making the products are becoming interchangeable. The line is being crossed
from both sides, as more supplement marketers edge into food with function-infused
chewable tablets and treats—as Nutramax has recently done with its joint health
Dasuquin soft chew—and as more petfood marketers delve into nutraceutical foods
and treats. No surprise, therefore, that condition-specific foods are a growth
area in the petfood market and that nutraceutical treats are the current bright
spot in the pet supplements market.

According to
Packaged Facts’ March 2011 report, Pet Food in the U.S., 9th
Edition, sales of nutraceutical treats for dogs and cats rose 13% in 2010, more
than double the 6% rate posted by traditional supplements. The top segments are
joint/senior and skin/coat, with weight-related products also picking up steam.
In the veterinary channel, other conditions subject to targeted nutrition
include cognitive health, eye health, cancer and diabetes.

Petfood marketers
large and small continue to launch products boasting functional ingredients
including omega-3 fatty acids, taurine, L-carnitine, MSM (methyl sulfonyl
methane), glucosamine, chondroitin, dietary fiber, probiotics and antioxidants.
Iams’ new ProActive Health Canned Cat Food, launched in 2010,
features prebiotics FOS (fructo-oligosaccharides) and is promoted with the copy,
“Feeding a diet with prebiotics helps promote good bacteria to aid in digestive
health and support a cat’s defenses.”

Support for
senior dogs is an especially hot area in functional petfoods. During 2010, Mars
added Pedigree Healthy Joints, which
contains glucosamine and chondroitin, and Healthy Longevity, which contains fish
oils rich in DHA and omega-3s and is “specially formulated to provide adult
dogs with the special nutrients they need to support their hearts, minds and
immune systems.”

Also in
2010, Hill’s added Science Diet Healthy
Mobility Adult Dry Dog Food in Original, Large Breed and Small Bites varieties.
The product contains omega-3 fatty acids, glucosamine and chondroitin sulfate
from natural sources and is touted as “Tested nutrition to enhance active mobility
in just 30 days.”

Some petfood
marketers are moving straight into the pet supplement fray. Most notably,
during 2010 Iams teamed up with Nutramax to introduce a new line of supplements
bearing the Iams brand name along with established brand names licensed from
Nutramax. The new Iams Premium Protection supplements, which are sold in both pet
specialty and mass-market outlets, come in three varieties: Cosequin Joint
Health, Dermaquin Skin and Coat and Cosevite Multi-Vitamins.

During 2010,
the supplements were being test-marketed in selected Walmart and Target stores,
with plans to take the product national as early as 2011. “Pet nutrition has
evolved in recent years, giving pet owners different food formulas for older or
indoor animals—even specialized right down to breed in some cases. This is the
next level,” Katy Nelson, DVM, a veterinarian in the Washington, DC, area and
spokeswoman for Iams, told The State (Columbia, South Carolina).

Also
crossing directly into pet supplements from petfood is Merrick Pet Care, which in
2009 debuted Elements Daily Supplement Mix. Available in Vision, Joints and
Breath Formula varieties, the supplement is both sold separately, so it can be
added to food, and included in the production of some of Merrick’s petfoods.